Advice for First Time New Car Buyers?

Alright, let's have some second opinions.

Who we are: young married couple -- 26 and 24. No kids. Don't plan on kids. Will never have kids. One dog, two ferrets.

We live in the middle of Oklahoma City. Neither of us have long commutes. Mine is 6 miles, hers is like 9. We work the same hours and she works for herself, so we only need one car.

We're looking for something in the $12K to $20K range. $20K would be pushing it. Something with good fuel efficiency, practical, but not barebones. I want power doors, remote entry, nice stereo, automatic, etc. It also needs to have enough space for her massage table to fit in the back seat or trunk.

The hybrids are a bit out of our price range at the moment, especially when you start adding options to them.

Right now we're looking at Honda Civics (naturally), but also the Toyota Yaris. Any other ideas? Advice to first time new car buyers?

And when I say "no kids" I don't mean that in the "Oh haha, that's what we said. You'll change your mind!", I mean I've been pricing vasectomies with my new insurance.

My mom has a Chevy cobalt that she seems to like. i think without any options they are something like $13,000. It's pretty small so I imagine it gets decent mileage, but the back seat might as well not be there. The trunk is probably a better place for extra passengers.

Are you looking for something new? Well, I'd reccommend a 2006/ 2007 Mazda 3i. They run for around 17K (but can be much less than that) new at the dealerships around here (Do a search on AutoTrader).They get about 30mpg. They also are not as much of a bore to drive as Honda/Toyota, and look much better imho. Get a manual transmission also, because that makes it more interesting, and driving one makes you feel like a real man (j/k). Also, they are quite despite the fact that Ford owns them.

PS: I hope I'm married by 26.

Yeah, I would like something new. Have had nothing but used, hand-me-down cars until now. Want something shiny and new.

I'd prefer something non-Detroit, even if it is actually made in the US. So I'd prefer no Chevy, Ford, GM, Pontiac, Dodge, etc.. both our cars now are Fords and my first car was a Dodge. Bored of those.

I drive a Toyota Echo. I don't even think they make them anymore, I think they have been replaced by the Yaris. And I have to say that I love my car! I love Toyoto's in general.

I know you mentioned the Yaris in your first post. And everything that I have heard about them is great. I would totally look into one.

I don't think this post was any help at all.

Good luck. New cars are fun.

I've never ridden in a Yaris, but I know Idjiit has one and likes his. Have only heard good things about them, except for a trend in online reviews about the engine or road noise being way too loud.

in terms of energy conservation, since hybrids are out for you, maybe a diesel car

I considered buying a new car for all those same reasons, but once it sank in that it depreciates 30% once you drive it off the lot, I went for one fresh out of a 3 year lease (first owner traded in) At the time I got it the warranty had just ran out and the dealer had all the warranty service records so I had proof that it was checked in regularly.

All in all, I got a much better car with more options for less than I was willing to spend.

Just throwing that out there...

Ok, Keith. This is my advice as a businessman and guy who likes you.

Purchasing a car consists of three levels of negotiation.

Level 1: Chooseing the Car
As many have mentioned, your new car will lose 30% of its value within 8 months. A used car will erode in value as the mileage ticker increases, the paint fades and the interior is no longer modern. Ensure you choose the car that you want - with all the options you want. Dealers will try to move what is on the lot first - they have sales incentives to do so. Thus, if you want a black escalade with 22 inch wheels and all they have is a lime green escalade with 19 inch wheels and 2 wheel drive - they will try to push that on you. Be stubborn, car dealers frequently trade cars and can have what you want within a week. Make sure you drive it and it is what you expect. Open it up. Hit the breaks hard. Adjust the seat. Listen to the radio. Check the sitelines on your mirrors and windows. Also, do not underestimate the value of a 5 year/100,000 mile warranty.

At this time, do not discuss price, how you are financing or trade-in. Be coy. Say, i dunno, depends on what it is and how much it cost lets check out the car. Unless, you do decide that you can comprimise for a car on the lot.

Once you decide the car go to Level 2.

Level 2: Negotiating Price.
Car dealers will try to discuss price and financing in the same sentance. This is because they make more money on the financial structure than the car itself. They will ask you, likely before you even saw a car, how much can you spend? what do you want your monthly payment to be? How much do you drive? Just answer - how much does the car cost.

Make sure you research the blue book on the web, and understand the dealer costs and their incentives. Ask for the price, tell him your price, shrug that you might finance it if he pushes. Dont tell him how much you are putting down. Agree to a price.

Level 3: Negotiating Financing
Now this is where you will piss off the dealer, but at this point, they will not let you leave the lot without a sale - you showed interest. First, before you ever get to the dealer - get a loan at a good rate from a bank - either a local bank or web bank. They give you a credit line, and it is only effective when you sign over the deposit check. Do not tell the dealer about this. Ask them their effective rate and monthly payment at various price levels. Ask about leases, which are reverse to a loan and require certain levels of maintenance and milage.

Now go for a walk and do the math. Which is cheaper. If the bank loan is cheaper tell him you will arrange your own financing or ask them to match.

Now that you agreed to financing. Ensure they throw in window tinting, undercarriage and every other add on they are trying to sell you for free. Also tell them not to glue the dealer name to the car.

Drive your new car home...

The point is.... you drive the negotiation. Keep each level seperate and do the math. You will get the best deal.

Oh, and if you dont mind the gas milage - i like the Ford Escape and Jeep Liberty - which have really good discounts and financing now, because the dealers are sucking on SUV-lights due to the gas crunch.

That's wonderful advice! Exactly what I was looking for.

And yeah, the gas mileage (and my personal political vanity) is a bit of an issue. I want a small, compact, practical, modest car.

Avoid the Pinto.

Maybe a new VW Rabbit ? I may be biased as I have a new GTI , but I also had a Jetta for over 3 years before that & have yet to have any problems with either of the cars . If not that , the try to find a Civic SI . I don't know if that'll settle into your price range though .

If you want to fit a massage table in the back, a hatchback or small wagon will be a good choice.

The Toyota Matrix wagon is an exellent choice, built on the Corolla platform, inexpensive in FWD and totally reliable. Decent power too. My 1st choice. The Pontiac Vibe is the Matrix's exact twin with a different nameplate, something to think about if a Pontiac dealer is closer to you than a Toyota dealer.

The Scion xB micro wagon is a very close 2nd, Fits tons of stuff in it, handles great, rides stiff, a little down on power and slow esp. with the automatic. Well equipped for $14500 new. Built by Toyota, will probably be very reliable. Looks like the box it came in. Very easy servicing.

The Honda Fit is a new 5 door micro wagon, sharp styling, less room than the xB, same power (~105hp).

The Yaris micro hatch is a good car but tiny, make sure it'll fit what you need before buying it.

If you're open to small car-based SUVs, the Honda CRV and Toyota RAV4 are both totally reliable, roomy, and not too expensive in FWD form.

That's all I can recommend in that price range. VW and the domestics have been unreliable for the last few years at least. The Focus drives well but is built very, very cheaply and dosen't hold up well. The VWs have had many expensive recurring issues over the last 6 years with electrics, interior plastics, check engine lights, and generally poor design. The new ones may be better, but why take chances with your hard-earned cash?

The new Mazda 3 looks neat but long term reliability is unknown. GM's entrants in this segment are crude and uncompetitive. Nissan's brand new Versa subcompact has unknown reliability, but Nissan's reliability as a whole has slipped markedly in the last 5 years or so. Don't even bother with Mitsubishi, rocked by two huge reliability/recall coverup scandals in the last 10 years.

Ooh that Matrix looks very nice. I love Corollas, too. Thanks for the suggestion!

This Site is a GREAT place to start



1. You do NOT have to finance through the dealer...no matter what they tell you. Think about it...the dealer is out to make money. Do you really think their primary concern is getting you a loan that will save you money? It's not to say that ALL dealers are crooked...my father once got a better car loan through a dealer than his own bank was willing to give him.

Here's what you do...go to a few different banks and get quotes. Then...go to some reputable online lenders and see what they are willing to do for you. Finally after you have a handful of loan offers & quotes....THEN go see what the dealer is willing to do for you.

2. KNOW YOUR CREDIT RATING & SCORE!!!!!!!!!!! Do not walk into a dealership with a serious intention to buy if you do not have a copy of your credit report from the three major companies along with your credit score. If you don't have your current copies...and the dealer checks your score...and credit is not issued...it can hurt your score.

3. Don't get bullied into anything. Do not be afraid to walk out if at ANY point you feel pressured by the dealer or the salesperson. Most people will tell you that you should never buy a car on your frist trip to the dealership anyway.

4. Get a PRICE on the vehicle. I can't tell you how many times I've talked to a salesperson about the cost of the vehicle only to be asked "What do you want your payments to be?" They wouldn't give me a final price on the vehicle itself.

Finally, from frustration I told him I wanted my payments to be $275 a month...THEN he told me what the car would cost. So I said "If that's the case...I'll increase my downpayment....to decrease my monthly payment" he said "It doesn't work that way"

It DOES work that way! Your payments are based on amount borrowed plus interest. A loose estimate is that for every $1000 you borrow, your payments are $20 a month. Let's say you buy a $15,000 car. You put $3000 down and finance the remaining $12,000. That means your payment is $240 a month. If you put $5000 down and finance the remaining $10,000...your payment is $200 a month.

Simply put...if you borrow less...you pay back less. By getting you to agree to a payment rather than a price...they can fudge the numbers on length of loan & interest rate. Besides....$350 a month for 48 months is a hell of a lot less money than $290 a month for 72 months.

Look over that website and it'll arm you with a lot of good advice.

My advice for new car buyers: either pay straight cash for it (if it's $20k, then you better have that change lying around), or just buy an affordable well mantained used car, that you can pay straight cash for.

Financing a new car is a nightmare, and as such, will put one into more debt than they concieved.

so long as its a toyota or a honda youre in good shape.

get a minicooper

I've been researching pretty much all the cars stiles mentioned up there over the past month or so, plus a few more little sporty hatchback types, and the matrix is definitely my #1 choice. of course, living where I do I need the AWD, and you might not.

everybody and their fucking dog drives a subaru outback or forester around here, for what it's worth. they're practical, reliable, and squeeze in under your price range.

I got a Hyundai Tucson a few months back and LOVE it. Good warranty, good gas mileage (for a small SUV), safety features, and a backseat that folds down flat so there's tons of storage room. Mine has everything you mentioned, and brand-new was $20,000.